Hyundai Motor Announces 2016 3Q Business Results
- Hyundai Motor sold 3.48 million units worldwide through third quarter of 2016
- Sales revenue and operating profit totalled KRW 69.11 trillion and KRW 4.17
trillion, respectively
- Profits declined mainly due to production disruption caused by series of labor
strikes and weakness in emerging markets
- Company to improve fourth quarter business results by boosting sales of new
models, SUVs and GENESIS models
Oct. 26, 2015 - Hyundai Motor Company, South Korea’s largest automaker, today announced its business results for the third quarter of 2016. Sales volume and operating profit declined from the same period last year due to production disruption caused by series of labor strikes and weakness in emerging markets. Also, increased marketing efforts for GENESIS brand and R&D investment contributed to the profit decline.
Through the first nine months of 2016, Hyundai Motor Company’s global sales totalled 3,477,911 units (Korea: 481,248 / overseas: 2,996,663), down 1.7 percent year-on-year.
Hyundai Motor’s sales revenue increased 2.9 percent to KRW 69.11 trillion (auto: KRW 53.28 trillion / finance and others: KRW 15.83 trillion) from a year earlier owing to sales increase of SUVs and GENESIS models. Operating profit fell 13.8 percent to KRW 4.17 trillion and net profit showed a 6.6 percent decrease to KRW 4.65 trillion, for the first nine months.
In the third quarter alone, global sales totalled 1,084,674 units while sales revenue posted KRW 22.08 trillion with operating profit of KRW 1.07 trillion.
Hyundai Motor forecasts that an unfavorable business environment is likely to continue due to stagnant growth in developed markets and economic recession in emerging markets in the fourth quarter.
Nevertheless, Hyundai Motor will continue its effort to focus on strengthening competitiveness and product quality in the global automotive market. To do so, Hyundai Motor is planning to boost sales of SUVs, GENESIS models and new models such as the All-new Azera, planned to go on sales in the fourth quarter of 2016.
Hyundai Motor will continue its cooperation with suppliers and actively carry out more values to customers. Hyundai Motor also strives to build a more shareholder-friendly environment by increasing transparency and shareholder’s value.
Cautionary Statement with Respect to Forward-Looking Statements
In this release and in related comments by Hyundai Motor’s management, our use of the word “expect,” “anticipate,” “project,” “estimate,” “forecast,” “objective,” “plan,” “goal,” “outlook,” “target,” “pursue” and similar expressions is intended to identify forward looking statements.
The financial data discussed herein are presented on a preliminary basis before the audit from Independent Auditor; final data will be included in HMC’s Independent Auditors report. While these statements represent our current judgment on what the future may hold, and we believe these judgments are reasonable, actual results may differ materially due to numerous important factors. Such factors include, among others, the following : change in economic conditions, currency exchange rates or political stability; shortages of fuel, labor strikes or work stoppages; market acceptance of the corporation’s new products; significant changes in the competitive environment; changes in laws, regulations and tax rates; and the ability of the corporation to achieve reductions in cost and employment levels to realize production efficiencies and implement capital expenditures at levels and time planned by management.
We do not intend or assume any obligation to update any forward-looking statement, which speaks only as of the date on which it is made.
-Ends-
About Hyundai Motor
Established in 1967, Hyundai Motor Company is committed to becoming a lifetime partner in automobiles and beyond. The company leads the Hyundai Motor Group, an innovative business structure capable of circulating resources from molten iron to finished cars. Hyundai Motor has eight manufacturing bases and seven design & technical centers worldwide and in 2015 sold 4.96 million vehicles globally. With more than 110,000 employees worldwide, Hyundai Motor continues to enhance its product line-up with localized models and strives to strengthen its leadership in clean technology, starting with the world’s first mass-produced hydrogen-powered vehicle, ix35 Fuel Cell and IONIQ, the world’s first model with three electrified powertrains in a single body type.
More information about Hyundai Motor and its products can be found at:
http://worldwide.hyundai.com or http://globalpr.hyundai.com/
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